SIX ESCROW PROCEDURES
REFERENCE CODE:
KUTA/2025/ESCROW/01
ORIGIN: KAZAKHSTAN
LOADING PORT: HOUSTON/ROTTERDAM/ANTWERP / FUJAIRAH/JURONG/ZHOUSHAN/QINGDAO/NINGBO & ZHANJIANG PORT
ESCROW FIRM: MALAYSIA
NOTE: THE BUYER MAY VISIT THE ESCROW LAW FIRM IN MALAYSIA PRIOR TO MAKING ANY PAYMENT & THE DEPOSIT AMOUNT IS NEGOTIABLE
PROCEDURE:
1.Buyer issues an ICPO, Company Registration Certificate, and passport.
2.The seller issues a commercial invoice, which the buyer signs and returns within 2 banking days.
3.Seller forwards the signed commercial invoice to the agreed escrow firm to obtain the escrow agreement.
4.The escrow firm issues the escrow agreement for buyer and seller to sign and return.
5.Upon endorsement and confirmation of the escrow agreement, the buyer deposits a minimum of $2,000,000 to the escrow as a guaranteed fee and part of the tank extension fee to the escrow holding account, while the seller deposits $2,000,000 as performance bond to the same escrow to be forfeited to the buyer if the seller fails to supply the product as agreed.
6.Upon confirmation of both payments, the seller provides the buyer with the following documents:
a. Fresh SGS Report (less than 48 hours old), showing tanks are sealed.
b. Unconditional Dip Test Authorization.
c. Injection Report.
d. Storage Receipt with GPS Coordinates.
e. Tank Farm Barcode Information.
f. Letter of Commitment to Supply.
g. Registration Certificate & Export License Copy.
h. Authorization to Sell & Collect (ATSC).
I. ATV (Authorization to Verify).
j. Irrevocable Commitment to Supply.
7.Buyer conducts optional dip test at the seller’s tank at their own cost. Upon successful results, the buyer completes any tank extension fee, changes the TSR to his name, and takes over the tank.
8.The buyer makes full payment via MT103/TT wire transfer.
9.The seller transfers the ownership title to the buyer. The seller pays all intermediaries and begins shipment monthly as per the finalized terms of the contract.
REFERENCE CODE:
KUTA/2025/ESCROW/02
ORIGIN: KAZAKHSTAN
LOADING PORT: VLADIVOSTOK PORT, POTI PORT, GEORGIA
ESCROW FIRM: MALAYSIA
NOTE: THE BUYER MAY VISIT THE ESCROW LAW FIRM IN MALAYSIA PRIOR TO MAKING ANY PAYMENT & THE DEPOSIT AMOUNT IS NEGOTIABLE
PROCEDURE: CIF STANDARD WORKING PROCEDURE
1.Buyer issues an official ICPO with the company
registration license.
2.Seller issues The Pre-Contract Agreement (PCA) is open for amendment by the buyer.
3.Buyer Countersigns the Pre-Contract Agreement.
4.The seller submits the signed contract agreement to the escrow firm to obtain the escrow agreement.
5.Upon endorsement and confirmation of the escrow agreement, the buyer deposits a minimum of $3,000,000 to the escrow as a guaranteed fee to the escrow holding account, while the seller deposits $2,000,000 as a performance bond to the same escrow to be forfeited to the buyer if the seller fails to supply the product as agreed.
6.Upon confirmation of the buyer’s $3,000,000 security guarantee fee, the seller issues a $2,000,000 performance bond by the escrow company, and the seller issues the original hard copies of the below Full POP and shipping documents via the buyer's secured email as shown below:
a. Product allocation export permit.
b. Allocation title ownership certificate.
c. Contract to transport the product to the loading port.
d. Port storage agreement.
e. Charter party agreement to transport the product to the discharge port
f. Tank storage receipt.
g. SGS/CCIC quality and quantity report.
h. Bill of lading.
i. Vessel questionnaire 88
j. NCNDA/IMFPA
7.Shipment commences, and upon arrival of the vessel tanker at the discharge port, The buyer conducts an SGS/CCIC inspection and makes full payment via TT Wire or MT103.
8.The Seller pays commission to all intermediaries within 48 hours after receiving payment for total product value from the buyer.
9.Subsequently, monthly shipment continues as per the signed SPA, and product payment will be made against successful SGS/CCIC or equivalent inspection via TT/MT103.
REFERENCE CODE:
ECREFIN/2025/ESCROW/03
ORIGIN: KAZAKHSTAN
LOADING PORT: HOUSTON/ROTTERDAM/FUJAIRAH / JURONG/ZHOUSHAN PORT/QINGDAO PORT/LINGKOU PORT SHANDONG/HUI ZHOU PORT/ZHUJIANG PORT
ESCROW FIRM: NETHERLAND & DUBAI
NOTE: THE BUYER & THE SELLER MAY MEET AT THE ESCROW LAW FIRM IN NETHERLAND PRIOR TO MAKING ANY PAYMENT
PROCEDURE: ESCROW TRANSACTION
1.The buyer sends an ICPO along with CPA/TSA.
2.Seller issues Commercial Invoice (CI), buyer signs and returns the signed invoice back to seller via electronic email.
3.Seller nominates an independent escrow agent. The Seller and buyer sign the escrow agreement and each party deposit USD $1,500,000 of the nominal cost of the product for Performance guarantee. Either party that defaults forfeit the USD $1,500,000 deposit to the offended party.
4.After the escrow deposit The Seller issue tank entry permit to buyer for buyer to conduct inspection on the fuels with the PPOP below:
a. Unconditional Dip Test Authorization (UDTA)
b. Authorization to Verify (ATV)
c. Product Passport
d. Authorization to Sell and Collect
e. Injection Report
f. Tank Storage Receipt
5.After successful inspection “SGS report” buyer makes payment for the product of Trial Lifting. Seller pays intermediaries involved in the transaction as per NCNDA/IMFPA
6.Seller transfers Title of the product to the buyer and the buyer is to evacuate the sellers tank space within 7days of the title transfer.
7.Escrow deposit is refunded the respective parties “the buyer and the seller”
8.Monthly Lifting continues as above procedure for 12 months with Rolls and Extensions
REFERENCE CODE:
MUN/2025/ESCROW/04
ORIGIN: KAZAKHSTAN
LOADING PORT: HOUSTON/ROTTERDAM/FUJAIRAH / JURONG/ZHOUSHAN PORT/QINGDAO PORT
ESCROW FIRM: CZECH REPUBLIC
NOTE: THE BUYER MAY VISIT THE ESCROW LAW FIRM IN CZECH REPUBLIC PRIOR TO MAKING ANY PAYMENT
PROCEDURE: FOB ESCROW TRANSACTION
1.Buyer issue ICPO containing the seller's working procedure and banking details along with Company Registration Certificate, buyer data page of buyer’s Passport for refinery verification and approval.
2.Seller issues commercial invoice (C.I.), buyer signs and return commercial invoice along with an acceptance letter.
3.Seller appoints escrow Law Firm, buyer and seller fill the law firm contract agreement to register their company information both parties paid the registration and legalization fee of sum USD $5,000 dollars to the escrow law firm. This sum is equally paid by USD $2,500 by both parties. Both buyer and seller sign the escrow agreement appointed by seller via email or at the escrow attorney office in CZECH REPUBLIC. Upon signing the escrow agreement, both parties make a non-performance security deposit USD $1,000,000.00 to the IOLTA account of the escrow attorney. The non-performing party forfeits the escrow deposit to the offended party if any of the parties fails to perform its legal right of the transaction procedure as per the signed commercial.
Optional; Buyer is allowed to visit the Escrow Law Firm Company in CZECH REPUBLIC to sign the agreement on instant deposit payment to the escrow account.
4.Upon confirmation of the Escrow deposits by the Escrow Company, the seller issues the following POP documents to buyer:
a. Q&Q Report
b. Pre Injection Report (From refinery reservoir to leased tanks)
c. Unconditional Dip test authorization letter (DTA)
d. Authorization to sell
e. Fresh Update SGS Report
f. Certificate of Origin
g. Authorization to verify physically the product in seller’s tank (ATV)
h. NCNDA/IMFPA
5.Buyer and his testing teams conducts Dip test on the product in seller tanks and injection commence from seller’s tank to buyer’s tank/vessel upon satisfactory dip test.
6.The Seller transfers Title of Ownership of the products to the buyer and Upon completion of injection, seller issues full Injection report to buyer and buyer makes balance payment via MT103 for the total value of product injected into the tanks/vessel.
7.The seller pays commission to all intermediaries within 48 hours after receiving payment for total product value from the buyer.
REFERENCE CODE:
MUN/2025/ESCROW/05
ORIGIN: KAZAKHSTAN
LOADING PORT: AKTAU PORT
ESCROW FIRM: CZECH REPUBLIC
NOTE: THE BUYER MAY VISIT THE ESCROW LAW FIRM IN CZECH REPUBLIC PRIOR TO MAKING ANY PAYMENT
PROCEDURE: CIF STANDARD WORKING PROCEDURE(SWP) FOR ESCROW TRANSACTION
1.Buyer issues irrevocable corporate purchase order (ICPO) along with know your customer (KYC) and customer information sheet (CIS) to seller.
2.Seller issues commercial invoice (CI) for the available liftable quantities of the products to the buyer.
3.Buyer countersigns the commercial invoice and returns it to seller as final.
4.Seller appoint escrow law firm, buyer and seller fill the law firm contract agreement to register their company information. both parties paid the registration and legalization fee of sum USD $5,000 dollars to the escrow law firm, this sum is equally paid by USD $2,500 by both parties. both buyer and seller sign the escrow agreement appointed by seller via email or at the escrow attorney office in the CZECH REPUBLIC. upon signing the escrow agreement, both parties make a non-performance security deposit USD $1,000,000.00 to the IOLTA account of the escrow attorney. the non-performing party forfeits the escrow deposit to the offended party if any of the parties fails to perform its legal right of the transaction procedure as per the signed commercial.
Optional; Buyer is allowed to visit the escrow law firm company in CZECH REPUBLIC to sign the agreement on instant deposit payment to the escrow account.
5.Upon confirmation of the security deposit by the escrow attorney, the seller provides the following proof of product (pop) documents:
a. Injection report
b. Tank receipt
c. Unconditional dip test authorization (UDTA)
d. SGS quality and quantity report (not more than 48 hours)
e. Title transfer affidavit document
f. Tank storage agreement
g. Certificate of origin
h. NCNNDA/IMFPA
i. Title transfer agreement
6.The buyer schedules for the dip test at the seller's tank storage and conducts the quality and quantity inspection. upon satisfactory dip test results, the buyer pays the seller for the total cost of the product after deducting the USD $1,000,000.00 security deposit made to the escrow attorney's account.
7.The seller transfers title of ownership of the products to the buyer and injects the product into the buyer's reservoir or vessel.
8.Upon completion of injection, seller issues full injection report to buyer and buyer makes balance payment via mt103 for the total value of the product injected into the buyer's reservoir or vessel.
9.The seller pays commission to all intermediaries within 48 hours after receiving payment for total product value from the buyer.
10.The seller and buyer sign contract for a 12 month shipment. it is essential to ensure that all steps and documents in the transaction adhere to legal and regulatory requirements specific to the jurisdictions involved.
11.Consulting legal professional's experience in international trade or energy transactions can help ensure compliance with all relevant laws and regulations. we appreciate the opportunity to engage in this transaction and look forward to a mutually beneficial business relationship.
REFERENCE CODE:
KAPETEXTICS/2025/ESCROW/06
ORIGIN: KAZAKHSTAN
LOADING PORT: HOUSTON/ROTTERDAM/FUJAIRAH / JURONG/ZHOUSHAN PORT/QINGDAO PORT/LINGKOU PORT SHANDONG/HUI ZHOU PORT/ZHUJIANG PORT /KLANG/DOHA/RAS LAFFAN/KAOHSIUNG/NAGOYA/ BUKOM & BUSAN
ESCROW FIRM: USA & UAE
NOTE: ALL COMMUNICATION IS CONDUCTED ONLINE
PROCEDURE: TANK TO TANK or TANK TO VESSEL STANDARD TRANSACTION PROCEDURE NON-NEGOTIABLE
1.Buyer sends ICPO along with Company Profile to the Seller with certificate of incorporation, Company Profile (CP) and International Passport Copy with their bank account that they will use for Escrow payment.
2.The seller studies the ICPO and issues a commercial invoice and sends a draft Escrow contract (MOU) of 5 million USD to the buyer for review.
3.The buyer signs and returns the commercial invoice and the draft escrow contract (MOU) that has been reviewed and signed to the seller.
4.After the buyer signs and returns it to the seller, the buyer and seller together deposit 5 million USD each into Escrow Law Firm account that has been agreed upon (MOU) at the seller's lawyer's firm account. The non-performing party forfeits the escrow deposit to the offended party if it fails to perform its obligation as per the signed commercial invoice.
5.After depositing the evidence of the joint deposit of Buyer and Seller to Escrow Law firm Account, the seller releases the complete POP documents, including
a. SGS Report
b. Product Certificate of origin
c. Commitment Letter to supply
d. Authorization to sell and collect
e. Unconditioned Dip test Authorization
f. Authorization for Physical Verification
g. TSR
6.The buyer verifies the POP document and physically verifies the product, and the buyer does not make any payment before and physically verifies the product performs a dip test in the seller's tank.
7.After the dip test is completed, the seller releases another Fresh SGS Report and a statement of transfer of ownership to the buyer.
8.The buyer signs the document and sends it to the seller, and the certificate of ownership is given to the buyer, then the buyer makes the MT 103 payment to the seller's account, then the seller pays all intermediaries included in NCNDA / IMFRA within 48 hours.